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By
Aaron Cole on October 28, 2015

Speaking for the first time as Volkswagen chief, newly hired CEO Matthias Müller outlined his plan for the automaker’s future in the wake of a growing scandal for its illegally polluting cars.
Müller’s five-point plan includes a significant overhaul of the automaker’s plan to be the world’s largest automaker by 2018. According to Volkswagen, its Strategy 2025 plan — which replaces the Strategy 2018 outline — will be unveiled next year. In its earlier plan, Volkswagen had prioritized 10 million sales by 2018, 8-percent profitability and to position the automaker as “a global economic and environmental leader,” according to the automaker’s plan.
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By
Aaron Cole on October 27, 2015
In wonderful Bob Lutz fashion, the former General Motors head told entrepreneurs in Silicon Valley that making cars is hard.
“I think, like so many Silicon Valley techies, that they believe they are smarter than the world’s automobile business, and that they will do it better,” Lutz told The Associated Press. “No way.”
His argument, in a Readers Digest version: Cars are more dangerous than Walkmen and when you make things that can explode it costs money so beat it, nerds.
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By
Aaron Cole on October 26, 2015
The National Highway Traffic Safety Administration selected former Transportation Secretary Rodney Slater as an independent monitor over Fiat Chrysler Automobiles safety compliance, the automaker announced Friday.
Slater was transportation secretary under President Bill Clinton from 1997 to 2001. After his federal post, Slater has held a slew of automobile safety-related posts including his recent appointment as special counsel to Takata.
Slater was the first black director for the Federal Highway Administration and the second black transportation secretary.
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By
Aaron Cole on October 26, 2015
Thomas Sedran, former interim head of Opel and General Motors’ European chief for Cadillac and Chevrolet brands, will join embattled automaker Volkswagen as head of group strategy, according to the automaker.
Sedran was head of Opel in 2012 when that automaker shuttered a plant in Bochum, Germany. Sedran was president and managing director of Cadillac and Chevrolet brands in Europe until June, when he joined global consulting firm Accenture.
According to Volkswagen, Sedran will take over Nov. 1 and report directly to new CEO Matthias Müller.
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By
Mark Stevenson on October 21, 2015

Speaking Wednesday at the 10th annual J.D Power Automotive Marketing Roundtable in Las Vegas, Cadillac CEO Johan de Nysschen didn’t mince words regarding Silicon Valley’s infatuation with fully autonomous driving.
The luxury brand chief, while standing before an image of Google’s autonomous prototype, said: “Many autonomous car (prototypes) emphasize sheer functionality. It would be a mind-numbing experience going from point A to B. My goodness, you might as well take the bus.”
De Nysschen said Cadillac’s upcoming Super Cruise strikes a balance between fully autonomous driving and driving yourself.
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By
Aaron Cole on October 21, 2015
Volkswagen has suspended its chief of quality control for “incriminating correspondence” it found regarding its illegally polluting diesel cars, German newspaper Bild (via Automotive News) reported Wednesday. Tuch was suspended last week, according to the Wall Street Journal.
Frank Tuch is the fifth high-ranking official suspended from Volkswagen because of the scandal. According to reports, Tuch wasn’t part of the company when it developed the EA 189 engines that have become the center of the cheating scandal. The former Lotus COO and Porsche quality control officer may have known about the illegal software after he joined the company in 2010.
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By
Aaron Cole on October 16, 2015
Volkswagen announced Friday that Christine Hohmann-Dennhardt would join the embattled automaker from a similar post at Daimler after receiving approval from that automaker’s board of directors.
The Daimler board member and former judge will join Volkswagen on its Board for Integrity and Legal Affairs to help the automaker clean up its severely tarnished image after it admitted it had cheated emissions tests on more than 11 million cars worldwide. From Daimler:
In the interests of the Good Corporate Governance of the German automotive industry, the Chairman of the Supervisory Board of Daimler AG has agreed to this request after consultation with the Presidential Committee of the Supervisory Board, after Compliance is anchored firmly at Daimler and its corporate culture.
(Emphasis mine on the sick, corporate burn.)
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By
Mark Stevenson on October 14, 2015
Chairman of Škoda Prof. Dr. Winfried Vahland, who was tapped to lead a new North American Volkswagen region, will be leaving the Volkswagen Group, it was announced Wednesday.
Vahland will not be taking the N.A. role which would have given him the responsibility of overseeing the U.S., Canadian and Mexican markets.
“Differing views on the organisation of the new Group region have led to this decision,” Škoda said in a release on Wednesday, though the automaker was careful to point out that “this decision is expressly not related to current events on the issue of diesel engines.”
A replacement for Vahland in North America has not yet been announced.
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By
Aaron Cole on October 13, 2015
Like Al Pacino in “The Godfather 2,” Sergio Marchionne’s move to insulate himself further and tap future successors has claimed another victim. On Monday, former Fiat North American chief Jason Stoicevich resigned from the automaker, days after he was replaced as head of Fiat by Dodge CEO Tim Kuniskis.
Stoicevich was a longtime FCA employee, heading up the automaker’s California sales office and former head of Jeep operations before that.
His departure is the latest in a company-wide shakeup to consolidate most North American brands between fewer brand chiefs.
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By
Aaron Cole on October 12, 2015

Volkswagen’s chief in the United Kingdom told representatives Monday that cars in that country likely wouldn’t need expensive urea tanks retrofitted to those cars to comply with emissions standards, AutoCar reported.
Volkswagen UK managing director Paul Willis told members of parliament that most of the 1.2 million cars in that country fitted with illegal “defeat devices” to cheat emissions tests would only need a software fix and not an additional urea tank that is widely believed to be needed in U.S. cars. About 400,000 cars would need a fuel injector replacement instead of the costly tank.
It’s likely that many of the cheating Volkswagens in the U.S. would need all or a combination of three fixes — software update, fuel injectors and a urea tank — to bring those cars into compliance.
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By
Aaron Cole on October 8, 2015
Volkswagen of America CEO Michael Horn testified to a congressional committee Thursday that he wasn’t aware until last month of the illegal “defeat device” installed on nearly 500,000 cars in the U.S. — approximately 11 million worldwide — and that the car company could take several years to fix its cars.
Horn testified in front of the U.S. House Energy and Commerce’s subcommittee for oversight and investigations for more than two hours.
“I would like to offer a sincere apology for Volkswagen’s use of a software program that served to defeat the regular emissions testing regime,” Horn said in a prepared response before answering questions from representatives.
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By
Aaron Cole on October 7, 2015
Volkswagen’s supervisory board confirmed its appointment of Hans Dieter Pötsch to its top seat during a scandal rocking the 78-year-old automaker, the company announced Wednesday.
Pötsch said he would continue the investigation as chairman:
I will do my utmost to uncover the full truth of what happened. I am firmly resolved to make my contribution so that Volkswagen can win back the trust of customers, the public, investors and business partners. And I believe my central task is to play my part in guiding Volkswagen towards a successful future.
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By
Aaron Cole on October 7, 2015

Volkswagen CEO Matthias Müller told German authorities that the company would begin recalling cars in Europe in January and that fixes those cars take roughly one year to complete, Automotive News reported.
Müller told German newspaper Frankfurter Allgemeine Zeitung that the company found 9.5 million affected cars, not 11 million, that would need to be fixed. Müller didn’t specify what the fixes for cars would be, but said that the company was preparing “thousands” of solutions for its cars that cheated emission tests. Müller said the company would replace cars in certain circumstances.
It’s unclear when recalls for the 482,000 cars in the U.S. would start.
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By
Aaron Cole on October 6, 2015
Speaking to roughly 20,000 employees in Wolfsburg on Tuesday, new Volkswagen CEO Matthias Müller outlined the big-picture view for the weeks, months and years ahead. (It’s not good, if you’re wondering.)
Anything that is not absolutely necessary will be cancelled or postponed. And it is why we will be intensifying the efficiency program. To be perfectly frank: this will not be a painless process.
The automaker plans “massive cutbacks” according to Reuters, but Müller stopped short of outlining specifics to slow production or lay off workers. The 62-year-old CEO told workers that the company hasn’t calculated the final toll lying about pollution levels in 11 million cars would take on the company.
… while the technical solutions to these problems are imminent, it is not possible to quantify the commercial and financial implications at present.
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By
Mark "Bark M." Baruth on October 6, 2015

“I’m fine. Annabelle’s fine. Tails might be a goner.”
Those of you who have been around this site for more than a calendar year or so no doubt remember our former contributor, Caroline Ellis. Caroline has the good fortune of living in the Palmetto State of South Carolina, which is normally a good thing. This week, however, she isn’t so fortunate. When I saw the news images of floods throughout the State, I texted Caroline to see if all was okay. You can see the text I got back at the top of this post. Annabelle is Caroline’s black lab. Tails is her 2012 Chevrolet Sonic LTZ hatchback.
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